recentpopularlog in

jerryking : economic_warfare   18

Canadian diplomats warn Trudeau government about perils of deepening ties to Beijing
February 26, 2020 | The Globe and Mail | STEVEN CHASE.

Department of Global Affairs officials have warned the Trudeau government about the perils of deepening ties with China, saying the authoritarian state represents a “strategic challenge” to Canadian values and interests......Canada has for a long time seen China as primarily an economic opportunity, it must now consider the risks of deepening ties and take into account Beijing's long-term strategic challenge to Canada's interests and values......The document was provided to the House of Commons committee on Canada-China relations studying the deep chill in relations following Canada’s December, 2018, arrest of a Chinese executive on a U.S. extradition request. Beijing retaliated by slashing agricultural imports from Canada and practiced what critics call “hostage diplomacy” by locking up two Canadians.
“The crisis has demonstrated Beijing’s readiness and ability to use aggressive political and economic measures to punish Canada … and to propagate norms of international relations inimical to Canadian interest.......China purchases 4 % of Canada’s exports, making it the third-largest trading partner after the U.S. and the E.U. ......As the recent dispute with China has shown – where the Chinese temporarily blocked pork and beef from Canada and dramatically cut purchases of Canadian canola seed – Canadian producers who depend on this market are “vulnerable to sudden and arbitrary trade disruptions,”China is increasingly trying to rewrite the rules in world affairs.....China is a “strategic challenge”/run counter to Canadian values and interest.......China promotes perspectives on governance, economic security and human rights that diverge in fundamental ways from Canada’s........The memo cites China’s Asian Infrastructure Investment Bank as an example of how Beijing promotes its influence abroad. The Trudeau government signed up Canada to join the bank and pledged to purchase a stake worth $256-million. Through the bank and Beijing’s “Belt and Road Initiative” foreign investment campaign, China seeks to “leverage economic prowess to gain regional influence and export its model of [authoritarian] governance around the world,”.......The Chinese government attempts to promote its ideology by inserting CCP language into multilateral documents, challenging universal rights .........Global Affairs also said China’s tough posture in dealing with other countries may be a cover for domestic weaknesses. “There is the image of a global juggernaut but also evidence that Beijing’ assertiveness abroad seeks to compensate for fragility at home,” the memo said. China’s population is aging, the country “lacks a functional social safety net,” and its future development will be constrained by “acute levels of environmental degradation, pollution, corruption, consumer debt and other financial risk,” .........the briefing document warned that China’s bullying of self-ruled Taiwan....could pose one of the biggest challenges to the international order.
“The range of leverage and intimidation towards Taiwan …is even more intense and is likely to test the limits of the current rules-based system.”
AIIB  authoritarianism  Beijing  briefing  bullying  Canada  Canada-China_relations  China  China_rising  Chinese_Communist_Party  diplomacy  economic_warfare  environmental_degradation  exports  foreign_policy  Global_Affairs_Canada  hostage_diplomacy  hostages  House_of_Commons  Huawei  human_rights  influence_campaigns  international_system  Justin_Trudeau  memoranda  Meng_Wanzhou  national_interests  new_normal  One_Belt_One_Road  PMO  reassessments  reprisals  rules-based  strategic_thinking  Taiwan  threats  values  weaknesses 
5 weeks ago by jerryking
China has taken our citizens and canola producers hostage. Here’s how Ottawa can muscle up - The Globe and Mail
APRIL 22, 2019 | Globe and Mail | by COLIN ROBERTSON, SPECIAL TO THE GLOBE AND MAIL


Problem: For months, both Canadian citizens and a key part of the Canadian economy have been held hostage by China. After Canada’s detention of Huawei executive Meng Wanzhou, Beijing responded; for nearly 150 days, Michael Spavor and Michael Kovrig have been jailed, denied legal representation, forced to endure sleep deprivation and, in the case of the latter, had his diplomatic immunity abused as an on-leave Canadian foreign-service officer. Beijing then claimed that our canola is infected by pests. That canola embargo is a double whammy: It cuts our current market in half, and also sows doubt among Canadians about our health and safety standards.

If the Trudeau government continues to let this pass without response, we can expect the Chinese to ratchet up the pressure. Our beef, pork and seafood could be next.......A resurgent China is using the Meng affair to demonstrate its power and influence, and in doing so, it is redefining the norms of the rules-based order. Other authoritarians, looking to follow China’s lead, are watching closely.

Solution: * To address the canola embargo, we need to implement a food chain and inspection system that is the best in the world. We need to show foreign customers and Canadians alike that our food is of the highest quality and that “Made in Canada” is a signal of a premium brand. * the Canadian ministerial delegation being sent to China (to demonstrate to Chinese authorities that Canadian canola is pest-free) should read Lord Macartney’s account of his 1793 mission to China’s emperor, which was unsuccessful because of the deep divides between the two sides. * redeploy the trade commissioners recently added to China to markets of the Association of Southeast Asian Nations and Comprehensive and Progressive Trans-Pacific Partnership. * take the plight of the hostages to the various international human-rights tribunals and encourage human-rights NGOs to include them in their advocacy. * Press the cause of the million-plus Uyghurs kept in Chinese concentration camps * apply Magnitsky sanctions against those responsible for depriving the two Canadians of their human rights * Carefully inspect, with a “name and shame” approach to counterfeits and tainted goods, Chinese goods entering Canada. * formally declare that Huawei equipment will not be used in our 5G network buildout because we do not trust China. * arrest/expel Chinese agents are engaging in illicit activities or, if they are working under diplomatic cover, sent home.* send the current Chinese ambassador, Lu Shaye, packing. *Our next ambassador needs to be tough-minded and go into the job without illusions. Xi Jinping’s China is authoritarian, and does not care about human rights. It believes that its system is superior and more efficient than liberal democracy. *urge our allies to keep up the pressure.
ASEAN  authoritarianism  bullying  Canada  Canada-China_relations  canola  China  counterfeits  economic_warfare  food_safety  geographic_ingredient_branding  hostages  intimidation  Justin_Trudeau  Huawei  Meng_Wanzhou  norms  redeployments  reprisals  rules-based  TPP  Uyghurs 
april 2019 by jerryking
It starts with canola: How China could weaponize Canada’s federal election - The Globe and Mail
J. MICHAEL COLE
SPECIAL TO THE GLOBE AND MAIL
PUBLISHED MARCH 28, 2019

By singling out the private sector, Beijing hopes to turn the inconvenience and financial harm caused to companies into groups that will lobby the government into abandoning a specific policy that is believed to be detrimental to China. When the government fails to change its policy – in this case, standing its ground in the Meng dispute – affected firms and local and regional economies will increasingly blame politics and the perceived obstinacy of their government for their misfortune. It will lead to temptations to support parties and candidates who advocate for a more conciliatory stance vis-à-vis China. The lesson is simple: Abide by Beijing’s wishes, with their concerns ranging from territorial disputes to differences on politics, and there will be plenty of money to be made through the lifting of bans and the promise of more purchases, and other inducements. Refuse to give in, and your economy will suffer.
Canada  Canada-China_relations  canola  China  Elections_2019  economic_warfare  intimidation  reprisals  Meng_Wanzhou  bullying 
march 2019 by jerryking
The AI arms race: the tech fear behind Donald Trump’s trade war with China | Financial Times
Shawn Donnan in Washington YESTERDAY

While the headlines about the Trump administration’s trade war with Beijing often focus on raw materials such as steel, aluminium and soyabeans, the underlying motivation of the new protectionist mood is American anxiety about China’s rapidly growing technological prowess.......
At a time when the US is engaged in a battle for technological pre-eminence with China, the ZGC project is exactly the sort of state-backed Chinese investment that American politicians across the political spectrum view with scepticism.

“China has targeted America’s industries of the future, and President Donald Trump understands better than anyone that if China successfully captures these emerging industries, America will have no economic future,” .....US tariffs on $34bn in imports from China that are due to take effect on Friday as part of a squeeze intended to end what the US says has been years of state-endorsed Chinese intellectual property theft. But it is also part of a broader battle against what the White House has labelled China’s “economic aggression”......Viewed from America, President Xi Jinping’s Made in China 2025 industrial strategy is a state-led effort to establish Chinese leadership in the technologies of the next generation of commerce and military equipment — notably AI, robotics and gene editing.

Many US officials are now questioning one of the basic assumptions about how the American economy operates: its openness to foreign investment....While some technology executives extol the potential for co-operation in areas such as AI, the Washington establishment increasingly sees them as central to a growing geopolitical competition....Many Chinese investors are looking for US companies that they can help move into China. .....Even though Mr Trump’s focus on Chinese technology has strong bipartisan support in Washington, its tactics have been heavily criticised. The biggest blunder, many critics argue, has been the Trump administration’s willingness to wage concurrent trade wars. The IP-driven tariffs push against China has been accompanied by one that has hit allies such as Canada and the EU that might have joined a fight against Beijing.

........“We’re treating the Chinese better than we are treating our friends,” says Derek Scissors, a China expert at the conservative American Enterprise Institute, who sees the tariffs Mr Trump is threatening against European car imports as a similar bit of malpractice.
arms_race  artificial_intelligence  China  CFIUS  Donald_Trump  economic_warfare  economic_aggression  FDI  geopolitics  international_trade  investors  investing  intellectual_property  industrial_policies  protectionism  politicians  robotics  One_Belt_One_Road  security_&_intelligence  Silicon_Valley  SOEs  start_ups  theft  U.S.  venture_capital  Washington_D.C. 
july 2018 by jerryking
Putin Is Waging Information Warfare. Here’s How to Fight Back. - The New York Times
By MARK GALEOTTIDEC. 14, 2016

the United States and its allies should pursue a strategy of deterrence by denial. Mr. Putin shouldn’t fear retaliation for his information warfare — he should fear that he will fail.

There are several ways to go about this. First, United States institutions need better cybersecurity defenses. Political parties and major newspapers are now targets just as much as the power grid and the Pentagon are. The government has to help provide security when it can — but people have a duty to be more vigilant and recognize that their cybersecurity is about protecting the country, not just their own email accounts. ....Finally, Mr. Putin’s own vanity could be turned into a weapon against him. Every time he overreaches, the American government should point it out. Every time he fails, we need to say so loudly and clearly. We should tell jokes about him. He can rewrite the record in Russia, but the West does not have to contribute to his mythmaking — and we should stop building him up by portraying him as a virtual supervillain.
cyberattacks  Vladimir_Putin  cyber_security  cyber_warfare  retaliation  security_&_intelligence  punitive  phishing  deterrence  economic_warfare  blacklists  retribution  disinformation  campaigns  destabilization  Russia  information_warfare  delegitimization  deception  overreach  power_grid 
december 2016 by jerryking
How Saudi Arabia Turned Its Greatest Weapon on Itself - The New York Times
By ANDREW SCOTT COOPERMARCH 12, 2016

The 1973-74 oil embargo was the first demonstration that the House of Saud was willing to weaponize the oil markets. In October 1973, a coalition of Arab states led by Saudi Arabia abruptly halted oil shipments in retaliation for America’s support of Israel during the Yom Kippur War. The price of a barrel of oil quickly quadrupled; the resulting shock to the oil-dependent economies of the West led to a sharp rise in the cost of living, mass unemployment and growing social discontent.

“If I was the president,” Secretary of State Henry Kissinger fumed to his deputy Brent Scowcroft, “I would tell the Arabs to shove their oil.” But the president, Richard M. Nixon, was in no position to dictate to the Saudis....In recent years, the Saudis have made clear that they regard the oil markets as a critical front line in the Sunni Muslim-majority kingdom’s battle against its Shiite-dominated rival, Iran. Their favored tactic of “flooding,” pumping surplus crude into a soft market, is tantamount to war by economic means: the oil trade’s equivalent of dropping the bomb on a rival.

In 2006, Nawaf Obaid, a Saudi security adviser, warned that Riyadh was prepared to force prices down to “strangle” Iran’s economy. Two years later, the Saudis did just that, with the aim of hampering Tehran’s ability to support Shiite militia groups in Iraq, Lebanon and elsewhere.

Then, in 2011, Prince Turki al-Faisal, the former chief of Saudi intelligence, told NATO officials that Riyadh was prepared to flood the market to stir unrest inside Iran. Three years later, the Saudis struck again, turning on the spigot.

But this time, they overplayed their hand.
Saudi_Arabia  petro-politics  tools  economic_warfare  Iran  geopolitics  statecraft  Yom_Kippur_War  economic_policy 
march 2016 by jerryking
North Korea: How Can the U.S. Respond to Sony Hack Attack? - WSJ
Dec. 20, 2014 | WSJ | By JONATHAN CHENG And JEYUP S. KWAAK.

SEOUL—U.S. President Barack Obama ’s warning on Friday of punitive action against North Korea following the cyberattack on Sony Pictures Entertainment raises a sticky question: what can the world’s leading military and economic power do to an isolated country that has successfully resisted decades worth of attempts to rein in its hostility?...However, engaging in any kind of cyber tit-for-tat with North Korea could undermine trust in the security of online banking and shopping services,
North_Korea  cyber_security  cyber_warfare  Sony  retaliation  sanctions  blacklists  economic_warfare  money_laundering  hackers  punitive  retribution  undermining_of_trust  cyberattacks 
december 2014 by jerryking
That’s the puzzle of sanctions - The Globe and Mail
DOUG SAUNDERS
The Globe and Mail
Published Saturday, Dec. 06 2014

sanctions: When they work, subjected citizens see themselves as victims not of the sanctions themselves, but of the dubious leaders who triggered them. Getting that message right isn’t easy. It’s the medal-winning manoeuvre of modern economic warfare.
Doug_Saunders  sanctions  economic_warfare 
december 2014 by jerryking
Steering Clear of Sanctions - The CFO Report - WSJ
July 8, 2014 | WSJ | By RACHEL LOUISE ENSIGN, SAMUEL RUBENFELD and MAXWELL MURPHY.

The U.S. blacklist names nearly 6,000 entities and individuals that are off-limits to U.S. companies and—in some cases—their foreign subsidiaries.

The list changes often: the Treasury Department’s Office of Foreign Assets Control added almost 500 names last year, and this year has added nearly 240, including Igor Sechin, chief of Rosneft. More than 350 names were crossed off this year, largely due to the removal of most remaining sanctions on Colombia’s Cali drug cartel.

Treasury penalties for violating sanctions this year have totaled about $1.2 billion, largely because of the department’s share of the BNP penalties.

“We call them Powerball penalties now,” said Judith Lee, a sanctions specialist and partner at Gibson, Dunn & Crutcher LLP, referring to their size.

As the U.S. tries to exert more geopolitical influence with financial levers, rather than military might, multinational companies are at risk of running afoul of its sanctions. Many sanctions programs have different rules for different countries. Individuals on the list often are reputed to operate networks of companies with little transparency. And the penalties can be extracted by a range of U.S. authorities.

When it comes to sanctions, “the U.S. government is effectively deputizing all of these companies to be their own policemen,” said Ms. Lee.
sanctions  U.S.Treasury_Department  geopolitics  multinationals  blacklists  penalties  economic_warfare 
august 2014 by jerryking
Aiming Financial Weapons From Treasury War Room - NYTimes.com
By ANNIE LOWREYJUNE 3, 2014

“The United States needs to remain involved in the world, but does not necessarily need to remain involved just through military power,” said David S. Cohen, Treasury’s under secretary for terrorism and financial intelligence, who is sometimes described within the administration as President Obama’s favorite combatant commander. “There are other ways of projecting U.S. power that are consequential.”

Mr. Cohen oversees the obscure Office of Foreign Assets Control, the engine that creates and administers the steadily increasing number of financial sanctions. They are a policy tool once considered largely ineffectual but are now used against a wide range of actors, from Iran’s revolutionary guard to Mexican drug traffickers to cronies of President Vladimir V. Putin of Russia....Sanctions have also become a central policy lever with Iran, Syria, South Sudan and North Korea — as well as drug cartels, arms traders and terrorists. In no small part, their swelling number is because of their improved potency, analysts said: Today’s sanctions tend to be “smart,” narrow rather than broad, and designed to pressure elites rather than squeezing average citizens....Legal changes during the Bill Clinton and George W. Bush administrations bolstered the tool. Analysts started focusing on travel bans and asset freezes, rather than whole-country or whole-industry sanctions. The interconnectedness of the global economy has also made sanctions stronger.

“We’re very nuanced about how to use the tool and, I think, very thoughtful about it,”
Iran  geopolitics  U.S.Treasury_Department  statecraft  21st._century  travel_bans  asset_freezes  sanctions  North_Korea  interconnections  economic_warfare  economic_policy  specificity  hard_power  rogue_actors  policy_tools  potency  global_economy 
june 2014 by jerryking
In ‘Treasury’s War,’ Missiles for a Financial Battlefield - NYTimes.com
August 31, 2013 | NYT | By BRYAN BURROUGH.

THE 21st century has ushered in new kinds of warfare that don’t involve soldiers wielding weapons. One type, cyberwarfare, seems to have drawn the most commentary and analysis. A less publicized type of attack, financial warfare, is covered in “Treasury’s War,” a useful new book by one of this strategy’s architects, Juan C. Zarate, a former assistant Treasury secretary. ... “Treasury’s War” chronicles an array of the department’s enforcement efforts, from corralling informal Middle Eastern money-transfer networks useful to Al Qaeda to tracking Saddam’s missing millions. But the heart of the book is the emergence and evolution of Section 311 of the Patriot Act, which allows the Treasury Department to designate any bank in the world as a “primary money-laundering concern” and prevent it from doing business with any American bank.

In today’s financial world, where every bank wants to do business with every other bank, and where New York and the United States dollar remain of paramount importance, “hitting” a bank with a Section 311 order has the effect of transforming it into an overnight pariah. Mr. Zarate cites example after example in which 311’s have all but destroyed rogue banks that had been important conduits for money flows involving, for example, Al Qaeda or Iran....“Geopolitics is now a game best played with financial and commercial weapons,” Mr. Zarate writes. “The new geoeconomic game may be more efficient and subtle than past geopolitical competitions, but it is no less ruthless and destructive.”
books  book_reviews  Iran  al_Qaeda  geopolitics  U.S.Treasury_Department  statecraft  money_laundering  21st._century  interconnections  sanctions  economic_warfare  economic_policy  banks  policy_tools 
september 2013 by jerryking
An Economic Statecraft Model - NYTimes.com
By DAVID ROHDE
Published: May 7, 2013

The Obama administration’s efforts in the region should be more economic than military. “The United States government has done a terrible job of focusing on economic issues in the Middle East,” Thomas R. Nides, a former deputy secretary of state, told me recently. “You have huge youth unemployment and no hope.”

This argument is hardly new. “To succeed, the Arab political awakening must also be an economic awakening,” Mrs. Clinton said, more than a year ago. “Economic policy is foreign policy,” her successor, John Kerry, said this week.

Last month he asked Congress to approve the creation of a $580 million “incentive fund” that would reward countries in the Middle East and North Africa for enacting reforms that foster market-based economies, democratic norms, independent courts and civil societies.
Africa  statecraft  foreign_aid  foreign_policy  economic_policy  Arab-Muslim_world  Junior_Achievement  economic_warfare 
may 2013 by jerryking
Meet Iran’s nuclear ambitions with resolve - The Globe and Mail
Globe and Mail
Published Friday, Nov. 11, 201

Any offensive action by Israel, with or without U.S. support, would likely only set back Iran’s nuclear efforts a few years. And it would prompt a flurry of terrorist responses and could invite a regional war.

But the international community should pick up every other available tool. The U.S. has stepped up arms sales to Iran’s neighbours. Sanctions, so often a perfunctory instrument, could have a greater effect if more broadly applied. Iran is the fourth largest oil exporter in the world, and if its Asian and European customers can be persuaded to stop buying, even for a short time, that would further isolate Iran. The U.S. could also lead an effort within the UN to articulate when the use of force against Iran would become necessary.

There are no easy or good answers to Iran’s nuclear ambitions. One thing is clear: International resolve, across geographical and ideological lines, is a necessary precondition to any resolution.
Iran  IAEA  editorials  Mahmoud_Ahmadinejad  Israel  resolve  sanctions  isolated  economic_warfare  tools  nuclear 
november 2011 by jerryking

Copy this bookmark:





to read